10. Property insurance rates surged during 2023

The pricing surge in most major lines of insurance coverage that began in 2018 continued in 2023, with commercial property insurers leading the charge.

The closely watched quarterly pricing reports produced by the Council of Insurance Agents & Brokers showed sharp increases in property rates in the first few months of the year, and while increases moderated slightly as the year progressed, property buyers continued to see price hikes that far outpaced inflation.

A story detailing changes in first-quarter insurance pricing was the 10th-most-read risk management-related story on the Business Insurance website in 2023.

Commercial property premiums increased more than 20% in the first quarter, while umbrella liability rates rose 8.5%, commercial auto was up 8.3%, general liability up 4.6%, and workers compensation rates fell slightly, according to the Council.

Property insurers themselves had seen sharp increases in their own coverage with property reinsurance rates at Jan. 1, 2023. 

The rise in primary property rates continued through the third quarter.

Forecasts are for further rate hikes during 2024, including continued property insurance rate increases. Liability lines may also see rising rates.

Moderating inflation in 2024, though, may eventually help ease some of the rate hikes, according to one report. And more modest property increases at year-end reinsurance renewals could help primary insurers.